Why is interest expense disallowed if it is incurred to purchase or hold tax-exempt obligations? O A. If the interest was allowed to be deducted, a taxpayer could, under certain circumstances, borrow money at a higher rate of interest than the rate at which it is invested, to generate a capital loss carryover to future years when taxable income is higher. B. Interest expense is disallowed when incurred to purchase or hold tax-exempt obligations because it keeps taxpayers from being able to increase their future ordinary income while decreasing their current capital gain income. C. The taxpayer would realize a double tax benefit if allowed to have the proceeds from the tax-exempt securities not taxed and also deduct the interest for the debt to purchase or hold the tax-exempt securities. D. Interest expense is disallowed when incurred to purchase or hold tax-exempt obligations because the cost of these obligations is too high